Penske Automotive Group Inc (PAG)vsT-Mobile US Inc (TMUS)
PAG
Penske Automotive Group Inc
$173.81
+1.28%
CONSUMER CYCLICAL · Cap: $11.16B
TMUS
T-Mobile US Inc
$193.63
-0.29%
COMMUNICATION SERVICES · Cap: $210.16B
Smart Verdict
WallStSmart Research — data-driven comparison
T-Mobile US Inc generates 185% more annual revenue ($90.53B vs $31.72B). TMUS leads profitability with a 11.7% profit margin vs 2.9%. TMUS appears more attractively valued with a PEG of 0.77. TMUS earns a higher WallStSmart Score of 62/100 (C+).
PAG
Buy51
out of 100
Grade: C-
TMUS
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-1.7%
Fair Value
$170.26
Current Price
$173.81
$3.55 premium
Margin of Safety
-64.8%
Fair Value
$134.69
Current Price
$193.63
$58.94 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Mega-cap, among the largest globally
Growing faster than its price suggests
Strong operational efficiency at 21.5%
Generating 4.6B in free cash flow
Areas to Watch
Expensive relative to growth rate
2.9% margin — thin
Operating margin of 3.7%
Elevated debt levels
Elevated debt levels
Earnings declined 12.0%
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : PAG
The strongest argument for PAG centers on P/E Ratio, Price/Book.
Bull Case : TMUS
The strongest argument for TMUS centers on Market Cap, PEG Ratio, Operating Margin. Revenue growth of 10.6% demonstrates continued momentum. PEG of 0.77 suggests the stock is reasonably priced for its growth.
Bear Case : PAG
The primary concerns for PAG are PEG Ratio, Profit Margin, Operating Margin. Debt-to-equity of 1.56 is elevated, increasing financial risk. Thin 2.9% margins leave little buffer for downturns.
Bear Case : TMUS
The primary concerns for TMUS are Debt/Equity, EPS Growth, Altman Z-Score. Debt-to-equity of 1.99 is elevated, increasing financial risk.
Key Dynamics to Monitor
PAG carries more volatility with a beta of 0.89 — expect wider price swings.
TMUS is growing revenue faster at 10.6% — sustainability is the question.
TMUS generates stronger free cash flow (4.6B), providing more financial flexibility.
Monitor AUTO & TRUCK DEALERSHIPS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TMUS scores higher overall (62/100 vs 51/100) and 10.6% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Penske Automotive Group Inc
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Penske Automotive Group, Inc., a diversified transportation services company, operates commercial and automotive truck dealerships. The company is headquartered in Bloomfield Hills, Michigan.
Visit Website →T-Mobile US Inc
COMMUNICATION SERVICES · TELECOM SERVICES · USA
T-Mobile US, Inc., doing business under the global brand name T-Mobile, is an American wireless network operator. Its headquarters are located in Bellevue, Washington, in the Seattle metropolitan area and Overland Park, Kansas, in the Kansas City metropolitan area.
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